The Opportunity of a Disaster

The Economic Impact of the 1755 Lisbon Earthquake

Bibliographic Data

ID10100286
AuthorsÁlvaro Santos Pereira (Simon Fraser University, corresponding author)
Year2009
Volume69
Issue2
Pages466-499
Publication date2009-05-26
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueThe Journal of Economic History (JOURNAL)
Journal identifiersISSN: 0022-0507 • E-ISSN: 1471-6372
PublisherCambridge University Press (CUP) (PUBLISHER)
DOI10.1017/s0022050709000850
OpenAlexW2124649692
LanguageEN
Citations received26
References cited12

By combining new archival and existing data, this article provides estimates of the economic impact of the 1755 Lisbon earthquake, the largest natural catastrophe ever recorded in Europe. The direct cost of the earthquake is estimated to be between 32 and 48 percent of the Portuguese GDP. In spite of strict controls, prices and wages remained volatile in the years after the tragedy. The recovery from the earthquake also led to a rise in the wage premium of construction workers. More significantly, the earthquake became an opportunity to reform the economy and to reduce the economic semi-dependency vis-à-vis Britain. “ Sometimes miracles are necessary, natural phenomena, or great disasters in order to shake, to awaken, and to open the eyes of misled nations about their interests, [nations] oppressed by others that simulate friendship, and reciprocal interest. Portugal needed the earthquake to open her eyes, and to little by little escape from slavery and total ruin .” 1

Economics · Economy · Friendship · Geography · Labour economics · Natural disaster · Order (exchange · Political science · Portuguese · Social science · Sociology · Tragedy (event · Wage · earthquake and tectonic studies · Finance · Historical Economic and Social Studies · Water management and technologies

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